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Bristol MPs call for pension fund to go fossil free

On the eve of an international summit on climate finance, Darren Jones, Kerry McCarthy, Thangam Debbonaire  and Karin Smith join over 100 MPs to call on the Parliamentary Pension Fund to drop investments in oil, coal and gas companies.

The four Bristol Labour MPs are among a cross-party group of over 100 MPs (1) who demand that their £612 million MPs’ Pension Fund removes its substantial holdings from fossil fuel companies to reflect their concerns about climate change. The fund currently holds a £5.6 million stake in BP and £4.9 million in Shell.

 

This week, Labour Leader Jeremy Corbyn and Shadow Chancellor John McDonnell became the 99th and 100th MPs to sign the Divest Parliament pledge (2). This milestone comes as 50 heads of state, including UK Prime Minister Theresa May, arrive in Paris for an international summit on climate change and finance.

MPs are responding to a rising call for divestment, with over 800 organisations and investors worth over $5 trillion having already committed to divest from fossil fuels (3).

In a joint statement, Darren Jones, MP for Bristol North West, and the other MPs said:

“Two years on from the Paris agreement, and with the devastating impacts of climate change already apparent, there is no room for continued investment in companies whose business is incompatible with our climate obligations. It is vital that MPs show leadership on positive solutions to tackle climate change which benefit society and our constituents. We are therefore proud to support the call for our pension fund to divest from fossil fuels.”

Patrick Killoran  from the Divest Parliament campaign said:

‘ I’m deeply concerned about the impacts of climate change here and around the world. It’s great to see MPs listening to their constituents and showing political leadership on climate action.

Investing in companies such as BP and Shell, who continue to dig for more fossil fuels and lobby against climate policy to line executives’ pockets, is dangerous and wrong.

I hope more MPs will join those committing to Divest Parliament today, and prioritise concrete action to build a clean, fair energy system for all.”

Two years ago this week, the UK government joined nearly 200 nations in signing the Paris Agreement on climate change. To meet the commitment to limit global temperature rise to below 2°C, with the aspirational target of 1.5°C, scientists have warned the vast majority of the world’s known fossil fuel reserves must stay in the ground.

Yet, the Parliamentary Contributory Pension Fund (PCPF) continues to invest millions of pounds of MPs’ savings in fossil fuel companies. Both BP and Shell are among the fund’s top 20 holdings – along with mining firm Rio Tinto, British American Tobacco and Amazon -which were made available for the first time in March 2017. The pension fund has to date been unwilling to make public the full list of its investments.

With the value of fossil fuel companies’ stock based on their entire fossil fuel reserves–not just the small percentage that can safely be burned–these investments are not only environmentally destructive, but represent a significant financial risk. Meanwhile, the industry continues to funnel billions every year to find and develop yet more fossil fuel reserves. Both BP and Shell have been involved in lobbying against climate solutions, and BP was identified at the top of a list of firms obstructing climate action in Europe (4).

The 100 pledges follow the efforts of thousands of citizens across the UK, who have written to and met with MPs from the across the political spectrum, urging them to demonstrate their commitment to protecting our society and shared environment from the risks associated with burning and investing in fossil fuels.

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